Current Limits to Wage Garnishment in New Jersey

The good news for New Jersey debtors is that our state’s wage garnishment limits are stricter than those set by federal law. Here, creditors can garnish only the lesser of the limits imposed, whether they’re the fed’s or the state’s.

At present – i.e., at the time of this blog’s publication - federal law grants that creditors can garnish the lesser of:

  • 25% of a debtor’s disposable earnings, or
  • disposable earnings less 30 times the federal minimum wage (currently $7.25), whichever is less.

New Jersey law, on the other hand, makes garnishment limits dependent on whether the debtor earns more or less than 250% of the federal poverty level for his or her family size. Thus …

  • If the debtor earns less than 250% of the federal poverty level, no more than ten percent of his or her gross earnings may be garnished by the creditor.
  • If the debtor earns more than 250% of the federal poverty level, up to 25% of the debtor’s disposable earnings may be subject to garnishment.

If and when these limits change, Mitchell Law Offices will keep you posted.

In the meantime, you needn’t face the threat of wage garnishment alone. Attorney Douglas Mitchell stands ready to provide the legal counsel and representation you need, just has he’s done for so many other Northern and Central New Jersey residents. Contact Mitchell Law Offices today.